Can I be a good boss in tough times?

Ingrid Kast, CEO at DAV - October 2009

I've found myself asking many times in the last couple of months how this year and its challenges have affected me. Am I being a good boss, or has stress lessened my ability to be the type of boss I must have been when we ?

It's challenging enough being a good boss in good times. When times are tough it gets even tougher. Our own stress levels are high, we are focused on our well-justified concerns and we may find ourselves sometimes unaware of the needs of our subordinates. But our people are watching their bosses even more closely than usual at the moment, looking for clues as to how the company may react to the current marketplace and what may happen to them. Robert I. Sutton, professor of management science and engineering at Stanford University calls this the toxic tandem.

It's challenging enough being a good boss in good times. When times are tough it gets even tougher

So how can well-intentioned leaders handle this situation? Whether we oversee a few direct reports, or are the CEO of a big company, Sutton brings a number of sources together in concluding that good bosses are those who can look beyond their own needs and stresses, and attend to four of their employees' psychological needs:

• Predictability
• Understanding
• Control
• Compassion

“The best bosses understand there is a difference between what they do and how they do it,� says Sutton. His advice focuses on how to make tough decisions in ways that protect both human dignity and organisational performance

Four ways to be a good boss

Predictability

Give people as much information as you can about what will happen and when. Numerous studies show that people handle pain better when they know to expect it. And of course when a stressful event can be predicted, the absence of a stressful event can also be predicted. Sufficient warning allows people not only the time to brace themselves but also the chance to breath easy. Sutton uses as an example, managers who guaranteed to employees that no layoffs would be made "for at least three months'" or others who made deep cuts up front but with the guarantee there would be no more for at least six months

Understanding

People are also much more able to tolerate adversity if they know why it is happening, Sutton says. Bosses therefore probably cannot go too far in offering simple, sincere and informative explanations over and over again.

"Your job as boss is to design messages that will get through to people who are distracted, upset, and apt to think negatively given any ambiguity," Sutton writes. He adds, “If you aren't saying the same things over and over again, and aren't a bit bored with yourself, it may be that you aren't repeating yourself enough or your messages are overly complex.�

People are also much more able to tolerate adversity if they know why it is happening, Sutton says. Bosses therefore probably cannot go too far in offering simple, sincere and informative explanations over and over again.

Control

As a boss in a bad economy, you might not be able to give employees control over what happens, but a good boss will recognise the importance of allowing them as much say as possible in how and when it happens. Citing the research of University of Michigan organisational theorist Karl Weick, Sutton advises bosses to engage employees in the process of breaking down the company's big-picture challenges into manageable parts. This exercise will help ensure that the work gets done, and will give employees a sense that they can have a positive impact on their situation.

Compassion

Put yourself in the other person's shoes. Express empathy and - when appropriate - sorrow for any painful actions that have to be taken. Mckinsey Quarterly speaks of an executive in Silicon Valley, Bill Campbell, who was involved in a start-up that once flew high but ultimately wound down. What Bill did when they decided to wind the company down was treat everybody so well in the process - both emotionally and practically, even going out on a limb to get people new jobs and to sell the company in such a way as to save jobs - that none of the top management team left. And all his staff are still very loyal to him, no matter where they are today.

For me, I've realised that in this marketplace, compassion and understanding are especially important. Many people are feeling vulnerable and we want to be aware of what is happening to them and what may have already happened to their families - and reflect this awareness back to them through our compassionate understanding. This feeling of vulnerability is confirmed for us daily when we interview candidates so, as leaders, let's pay special attention to how we see and support our people with compassion, while we tackle the challenges facing us right now.

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Tags: Leadership, Talent Retention, Motivation
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